This bill increases the minimum hourly wage that must be paid to employees who customarily and regularly receive gratuities or tips. The bill provides that, after December 31, 2014, an employer may claim a credit for gratuities or tips received by an employee against the hourly wage rate paid to the employee in an amount not to exceed 60 percent of the minimum hourly wage rate required by law or Article I, paragraph 23 of the New Jersey constitution, whichever is greater, and after December 31, 2015, an employer may claim a credit for gratuities and tips in an amount not to exceed 31 percent of the minimum hourly wage rate. By limiting the amount of tips and gratuities that may be applied to compliance with minimum wage requirements, this bill will effectively require employers to compensate their employees at an hourly rate of at least 40 percent of the minimum wage after December 31, 2014, and an hourly rate of at least 69 percent of the minimum wage after December 31, 2015 and beyond. The remainder of the employee's compensation may be comprised of tips or gratuities, as long as the employee earns at least the minimum hourly wage rate. Most employees who rely on tips or gratuities are currently paid the federal minimum wage for tipped workers of $2.13 per hour. The bill also requires every employer, for every pay period and for every employee who customarily and regularly receives gratuities or tips, to provide substantial evidence that the amount claimed for the credit of gratuities or tips was received by the employee and that no part of the amount claimed was returned to the employer. Finally, the bill requires that every employer provide notification to any employee for whom the employer claims the credit of gratuities or tips.